Clean Your Financial Slate Today and Start Anew!

Nearly everyone is saddled with debt -- and we'd all like to get rid of debt!  In the United States, 1 out of 53 people filed for personal bankruptcy in 2005 in a rush to beat the bankrutpcy reform legislation.  Fortunately, there are alternatives to bankruptcy, which are explored here at My Clean Slate.

Featured Resource ... Rampant Myths About Credit Reporting - 8 top misconceptions, exposed!

How to Get Out of Debt - Reduce the Spending

Cutting costs may seem an obvious way to get out of debt, but it might be easier said than done.  One thing you can do is cut all the little extras and treats.  For example, if you buy lunch when you are at work, chances are, you might be spending $4 or $5 a day.  If you brought your lunch in 3 or 4 days out of the week, you probably save $2 or $3 a day.  That's $40 or $60 a month that you're saving, plus you still can treat yourself to a day or two out of the week where you do not need to pack a lunch.  Take a look at all of your expenditures that you take for granted and you'll find that there are areas where you can reduce your spending.

How to Get Out of Debt with Credit Cards

As odd as it might seem, a credit card can a good way to get out of debt. Let’s assume you have a large outstanding balance on one credit card that you have been using for a couple of years. Let's also assume that given your monthly income, there is no way you are able to make more than the monthly minimum payments to this card.  The result is that the debt never seems to go away. You can apply for a new credit card with a lower or zero rate of interest that allows for balance transfers.  This is a sure way to get out of debt. By transferring the balance on your older, maxed out card to the new card at a lower rate of interest, you will probably be able to pay more than the minimum amount owed and finally see a reduction in principle. Visit our Credit Card and Prepaid Debit Card section for additional information.

Using Short Term Personal Loans to Get Out of Debt

A short term loan can also help you get out of debt. It can do so by giving you the much needed bulk cash to pay up a large number of your high interest credit card debts in one go, thereby freeing you from the burden of higher interest. In fact, personal loans offered by banks are a quick way to help one get out of debt. This is the reason why the number of people applying for personal loans is increasing. And if you ask them, the number one reason most of them will quote is that they want to get out of debt.

'Get out of Debt' Help from the Pros

Some people may may need professional advise to help them manage and get out of debt. For such people, there are debt consolidation and advice services. These are professional services that analyze, advise and help people get out of debt.  Some are non-profit.  While the solutions they offer may differ in range and scope, their primary advice is to get rid of credit card debt in one shot so that you are free from continually paying high interest rates.  The credit card debts are consolidated so taht they are easier to pay. The aim of such agencies is to help you get out of debt and even if they demand a small fee to help you with it, it may be worth paying them for their professional services.